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Just wondering whether 5,000km limit is "per car" or for each income producing business activity. e.g. I have a full time job and I need to travel to Canberra for business purpose and also I work as a part time ridesharing (Uber) driver. Can I claim 4,100km under my work related car expenses and another 2,500 km under ridesharing?
I need a clarification whether it is for each business activity (say I run 3 businesses using the car) or irrespective of number of busineses and work related, I could claim maximum 5,000km per car.
The following from ATO website. Does that mean my wife and I both can claim 5,000km per car doing our own businesses using a single car and not 5,000km for each separate business activities?
Thanks for your patience whilst we received further information from a specialist area regarding your query.
There is no new tax determination which has replaced TD 93/177. However, the information provided is correct as
the restriction on the amount you can claim is based on the distance travelled by you in the car during the year, and not the activity or activities. Therefore, you cannot claim more than an amount attributable to 5000km travel for your car under the rate per kilometre car expense deduction method even if your car travel during the year is 6600 km.
If you and your wife own the car jointly, under the rate per kilometre method for use of the car, then yes you have a maximum limit of 5000km (each) that you can claim for the distance you travelled in the car and your wife has a maximum limit of 5000km claim for her distance travelled in the car.
If you'd like to receive a ruling for your personal situation, you can apply for a private ruling.